Iran war puts worldwide internet usage at risk:97% of global data passes through underwater cables in Hormuz; fear of them being damaged

Due to the war between America-Israel and Iran affecting the Strait of Hormuz, after the global energy crisis, there is now a risk of internet disruption. This is because not only does 20% of the world’s crude oil and 25% LNG pass through the Hormuz route, but internet cables are also laid under this path. If tension increases in this region or cables get damaged, internet speed could slow down across the world including India. Experts believe that this area is not just an energy chokepoint but also a digital chokepoint. 97% of global data passes under the sea People often think that the internet runs through satellites, but the reality is different. About 95 to 97% of the world’s data is transferred through fiber optic cables. These cables are laid under the sea. The main cables connecting India to Europe, Africa and West Asia pass near this route. This includes major cable systems like SEA-ME-WE, AAE-1 and EIG. Why is it a big threat for India? India’s digital economy largely depends on these sea routes. Most of India’s international internet bandwidth comes through the Arabian Sea and Gulf region. Impact on IT sector worth 23.48 lakh crore India’s IT and outsourcing sector is worth around 250 billion dollars (23.48 lakh crore). Real-time connectivity with American and European clients depends on this low-latency network. If cables are cut, companies could face heavy losses, raising fears of broken service agreements (SLAs) and penalties. Additionally, remittances (money transfers) from Gulf countries and banking transactions like SWIFT could slow down. Will the internet shut down completely? The internet is designed in such a way that when one path is blocked, traffic moves to another path (re-routing). Therefore, the possibility of a ‘total blackout’ or complete internet shutdown is low. However, due to re-routing, the load on alternative routes will increase, which will significantly reduce speed. Sectors like stock markets and high-frequency trading, where milliseconds matter, could face major financial risks. India investing in new options In view of this danger, many countries including India are now investing in alternative routes. Satellite internet services like Elon Musk’s Starlink are being seen as backups. There are plans to lay cables in the future that can bypass sensitive areas. Currently, the growing geopolitical tension in Hormuz is increasing concerns about the digital world more than oil prices.